Trustee looking for paperwork supporting lien on vehicle

[AMISLANDER]

I called my trustee's office last week to see what was holding up my case closing.

Secretary said Trustee was on vacation, would be back this week & my file was actually on his desk (for real? )...he was looking into documentation supporting the lien on my title on my SUV.

Lien date on the title (called DMVFL on this one) is 1/05/05. I filed bk in October 2005. I thought the lien had actually been on the title in October of 2004. My mom is listed as the lienholder. I may have signed something saying that I owe her $. I can't remember by this point.

If I don't have any written documentation available on this loan, will the lien on my title hold up? In FL, we're only allowed $1,000 on a car and I did own the car outright with no debt on it except on $ that I borrowed from my mom, which is why she asked me to put the lien on the title so there is something tangible for her.

I am so afraid that the trustee wants this vehicle and I don't know what to do now? Look for the paper? Is it any good...obviously it's less than a year before I signed the bankruptcy paperwork...what do I do? HELP!!!!

[Minnymouth]

If you have no paperwork verifying the lien status, then your mom might be required to file a "declaration statement" that she did loan you a certain amount of money and she had a lien put on the auto to cover the amount of the loan.

Now whether the Trustee can "dissolve" this lien is a whole new ballgame. He would have to file a motion with the court and the Judge would make the decision at the hearing (all this cost the trustee money).... soooooooo..... may not be worthwhile for the Trustee to pursue the issue....

But be aware, that if the auto has enough equity in it that is not exempt, then the Trustee may have the option of seizing the auto, selling it, and paying your mom out of the proceeds, plus he would have to pay you for your auto exemption in order to get his hands on the money from the equity in the auto..... Long process, maybe not worthwhile after expenses.

Keep us posted....

[AMISLANDER]

If you have no paperwork verifying the lien status, then your mom might be required to file a "declaration statement" that she did loan you a certain amount of money and she had a lien put on the auto to cover the amount of the loan.

Now whether the Trustee can "dissolve" this lien is a whole new ballgame. He would have to file a motion with the court and the Judge would make the decision at the hearing (all this cost the trustee money).... soooooooo..... may not be worthwhile for the Trustee to pursue the issue....

But be aware, that if the auto has enough equity in it that is not exempt, then the Trustee may have the option of seizing the auto, selling it, and paying your mom out of the proceeds, plus he would have to pay you for your auto exemption in order to get his hands on the money from the equity in the auto..... Long process, maybe not worthwhile after expenses.

Keep us posted....

Now, you know this is the same 2000 4Runner that needs a lot of work........

car needs a number of repairs, 2 catalytic converters, probably starter, spark plugs by this point, a couple of sensors, possibly brakes....things I don't want to go & fix if the outcome would be seizure...I don't have the cash anyhow......I check pacer once a week but nothing new since discharge.

Even the gas mileage (17 per gallon) isn't going to make people jump on buying this used beast....not in the day of it costs around $45 to $50 to fill it up....

The best deal sounds like it would to have to trustee pay off mom, give me my $1K (florida) and I buy a scooter.....

God, I am so over this...he already has my $3K tax refund & I have the IRS probably waiting to garnish my wages for the $7K I owe them.for 2004...I'm going to see if I can get that amount reduced somehow......how do I get out of this one? better yet, maybe leave the country?

I can only imagine, Minny, what you have gone through with your house issue...I almost feel like saying hey, Mr. Trustee, you think it's all that great? Here, some days it will start but not quite...you play with it...I got myself into this mess, but here's my only freakin asset left...my car...happy now????

Can you tell I've had it??????

[SinkingFast]

I would think your Mom's Bank Statements could serve as some sort of proof of your claim, in addition to Minny's suggestions.

I'm guessing Mom didn't just pull that money outa the drawer or from under her mattress. So there should a corresponding withdrawal from Mom's bank acct at the time the vehicle was originally purchased.

Also,......... Did Mom give the money to you for the purchase?? Or did Mom go with you to buy the 4 Runner and write the check herself to whoever you bought from. If Mom paid the person/lot you bought from, you could get a copy of that check as proof. If Mom gave the money to you,......... Did you deposit it into your bank acct?? If you did, then your bank statements will show the corresponding deposit.

Trustees are big on paper trails. See if you can reconstruct your own paper trail.